Gen Z is facing a job market double-whammy
Why it matters: It's a sign of how reluctant companies have been to hire amid ongoing economic uncertainty over tariffs and policy.
By the numbers: 13.4% of unemployed Americans in July were "new labor force entrants," those looking for jobs with no prior work experience, including new high school and college graduates.
It's the highest number since 1988, as the Baby Boomer generation was flooding the job market.
That's from a new analysis of government data from the Federal Reserve Bank of Richmond.
The big picture: Folks with jobs are hanging on to them at the moment; unemployment is at a relatively low 4.2%. But those without work are having a hard time — facing one of the toughest job markets in years.
The jobless rate for college degree holder s, age 22-27, has been hovering at a rate last seen during the 2010s (excluding 2020 data).
Still, they are at a clear advantage among their peers without degrees. Overall the unemployment rate for everyone age 22-27 was 7.4% in the second quarter of the year.
Zoom in: Another sign of how hard it's become to get a job? The share of unemployed workers who've been without a job for 27 weeks or longer is up sharply, the Richmond Fed report says.
Such long-term unemployed people make up 25.2% of all unemployed workers — the highest since February 2022.
The bottom line: The frozen hiring market is a "double-whammy" for Gen Z, says John O'Trakoun, an economist at the Richmond Fed who did the research.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
25 minutes ago
- Yahoo
Oil Advances as Industry Data Points to US Inventory Decline
(Bloomberg) -- Oil rose after an industry report signaled that US crude stockpiles declined last week, while traders assessed negotiations to end Russia's war against Ukraine. Brent futures gained as much as 1.4% to trade above $66 a barrel in London, clawing back Tuesday's losses. The industry-funded American Petroleum Institute reported crude inventories fell by 2.4 million barrels last week, according to people familiar with the figures. Government data is due later Wednesday. Why New York City Has a Fleet of New EVs From a Dead Carmaker Chicago Schools Seeks $1 Billion of Short-Term Debt as Cash Gone Trump Takes Second Swing at Cutting Housing Assistance for Immigrants A Photographer's Pipe Dream: Capturing New York's Vast Water System A London Apartment Tower With Echoes of Victorian Rail and Ancient Rome Investors are watching on progress toward a ceasefire between Russia and Ukraine following a series of high-level talks brokered by President Donald Trump. Any eventual peace deal could lead to fewer restrictions on Russia's crude exports, although Moscow has largely kept its oil flowing despite an array of sanctions. A lot of that crude has been shipped to India since the war, drawing criticism from the Trump administration. On Tuesday, US Treasury Secretary Scott Bessent claimed on CNBC that some of the 'richest families in India' benefited from purchases of Russian oil, reiterating plans to boost tariffs on the South Asian nation. Bessent said on Fox News that the US is 'very happy' with its tariff arrangement with China, a sign that Washington will likely maintain status quo before a trade truce expires in November. Chinese refiners have also been big buyers of Russia oil, but Beijing hasn't faced the same criticism as India. The longer-term outlook for the oil market looks bearish, with expectations for a glut later in 2025 as OPEC+ returns barrels and as Trump's trade policies spark concerns about demand. Futures are down more than 10% this year. Foreigners Are Buying US Homes Again While Americans Get Sidelined What Declining Cardboard Box Sales Tell Us About the US Economy Women's Earnings Never Really Recover After They Have Children Survived Bankruptcy. Next Up: Cultural Relevance? Americans Are Getting Priced Out of Homeownership at Record Rates ©2025 Bloomberg L.P.
Yahoo
31 minutes ago
- Yahoo
Money over love? How finances are affecting romantic relationships
Although the median U.S. annual salary is about $62,192, Americans on average expect their ideal partner to earn six figures, a new survey found. On average, women want their ideal partner to earn $110,000 while men expect theirs to earn $90,000, according to a Tawkify survey of 1,000 Americans. A quarter of respondents want more, saying their ideal partner should earn over $150,000. That's still not enough for 1 in 10 who are holding out for $250,000 and 1 in 20 who want $500,000 or more. Some responses were contradictory. More than 6 in 10 Americans (63%) surveyed said they would marry for love, even if it meant a lifelong financial struggle. But if forced to decide between love and money, 46% said they would pick the latter. In fact, nearly 1 in 3 said they'd consider getting back with an ex if that person became wealthy. Those unemployed in a rough job market may find more trouble in their love life. Nearly half of Americans are taking the lyrics to TLC's 1999 hit 'No Scrubs' to heart, with 48% reporting they would not date someone without a job, even if they were attracted to them. Brie Temple, Tawkify's chief commercial officer and chief matchmaker, said the matchmaking company's clients want to date someone who adds to their life and not someone who is financially dependent on them. More: Uncomfortable Conversations: What is financial infidelity and how can you come clean? 'Women, in particular, are saying things like 'I'm not interested in being a nurse or a purse,' particularly if they're dealing with an older demographic,' Temple said. More: Can you afford your friends? That active social life can come at a steep price Deal breakers While not the leading cause, money issues are one of the reasons couples get divorced. But conversely, in some cases, money is the reason people stay together. Some 69% of those Tawkify surveyed said they remained in a relationship longer than they wanted due to shared finances. Single people might be quicker to cut someone off over bad money habits. A separate survey of 2,000 Americans conducted by Talker Research on behalf of Chime, found 26% said a date being ungenerous or stingy gives them a 'financial ick.' At the same time, a third said they would be put off by a partner who lives beyond their means. Jason Tartick, a banker and host of the podcast 'Trading Secrets,' said overspending is no longer 'cool' because it represents a lack of authenticity. 'It's beyond refreshing in this dating environment because it's allowing for a bit more openness,' said Tartick, who was also a contestant on season 14 of The Bachelorette. 'I think the openness is what will actually create connection, not a facade of something that is just an illusion.' For Tartick and Dr. Traci Williams, a certified financial therapist, a romantic partner not willing to talk about finances is a red flag in a relationship, if not a deal breaker. Williams added that a partner having lots of debt without a repayment plan or being reckless with money could also be cause for concern. More: Gen Z is getting serious about their finances. What's in the way? 'It is possible for couples to be together if they don't have exactly the same values. But can you agree, and can you work together?' Williams said. 'If one person likes to save, and one person likes to spend, yes, you can spend, but are we also saving for our future?' Generational shifts Financial responsibility is particularly appealing to members of Generation Z – 78% of whom consider it an important attribute when choosing a partner, according to a separate survey of 1,069 adults by Bank of America. Most Gen Zers are finding ways to date without spending money, with 53% of men and 54% of women reporting they spend $0 per month on romance. A quarter of Gen Z men and 30% of Gen Z women said they spend less than $100 a month on dating. When Gen Z does spend money on dates, they're more open to splitting the bill than older generations. The Talker Research/Chime survey found while 45% of Gen Xers and 42% of baby boomers believe men should pick up the tab, only 36% of Gen Zers agreed. Overall, 39% of men said they feel pressured to appear more financially stable than they are. At 47%, nearly half believe men should cover all the costs of a date, compared to only about a third of women. 'It's just fascinating for me to watch people's conversations online,' Williams said. 'People are regularly saying, 'I want a man who will pay for everything and take me on trips and here, there, and everywhere,' but in reality, when people are actually dating, they tend to be a bit more flexible.' When the love versus money question is asked in a different way, 58% of women are more likely to pick a 'broke and magical' relationship over financial security, compared to 51% of men, the Tawkify survey found. When broken down by age group, Gen Z is the generation second most likely to choose love over money, second only to millennials. More than half of both groups said they'd pick the 'broke and magical' relationship. Only 46% of Gen Xers and 48% of baby boomers reported the same. When and how to talk about money Half of Gen Zers and millennials said it's attractive when someone is upfront about their income, compared to only 23% of baby boomers, according to the Talker Research/Chime survey. It also found, however, that money remains one of the largest sources of stress in dating. To alleviate some of that anxiety, Temple recommends couples talk about money early and often in their relationship. Williams suggests setting up a specific time to chat about it once a week or every couple of weeks, if a couple is living together or in a serious relationship. For those struggling to broach the subject, Williams said even talking to your partner about egg prices is a place to start. More: What a viral TikTok teaches us about ghosting 'The reality is that it's relatable that life's so expensive,' he said. 'As opposed to creating tension with finances by not willing to have the conversations, you can actually create vulnerability by connecting via relatability.' If your partner shares financial information, Tartick said make sure not to use it against them. 'When we say money, everyone becomes very guarded... We are afraid of being shamed and blamed,' he said. 'You hear people joking around at the dinner table, 'Oh, my wife or husband has Amazon packages everyday' and we're constantly weaponizing information that has to do with spending.' Financial questions couples should discuss Tartick suggests asking the following questions to learn about someone's financial values while keeping money conversations fun: If you won $1 million and had to spend it in 24 hours, what would you spend it on? What's one thing you know you overspend on, but will keep doing it anyway? What's your dream income? Temple recommends asking: What's the largest splurge purchase you've made for yourself and why? When I say, 'financial freedom,' what does that bring up for you? Growing up, how did your parents or guardians talk about money? Williams also suggests setting clear expectations about who plans and pays for dates early on in a relationship. If money is tight, she recommends budget-friendly ideas including game nights and taking advantage of free museum days. Tartick said it's time to get real about numbers when a couple thinks about moving in together or getting married. He said they should ask about each other's credit score, number of financial accounts, annual expenses, salary, debt to income ratio, net worth, overall risk tolerance, and their target retirement age. 'If these are the numbers the bank is looking at to decide if you can get a mortgage or a loan to start up a company, why aren't these numbers that we're talking about with our partner?' he said. Reach Rachel Barber at rbarber@ and follow her on X @rachelbarber_ This article originally appeared on USA TODAY: Money or love? Survey finds Americans divided over which matters more
USA Today
32 minutes ago
- USA Today
Whether tax season starts late or not doesn't matter. It's coming. Prepare now, pros say.
As Americans speculate on whether tax season really could start as much as three weeks later than usual, tax pros are telling them to stop worrying and start preparing. Speculation about tax season has been rife this summer after former IRS Commissioner Billy Long hinted last month in an interview that the open could begin around President's Day which is on Monday, Feb. 16 next year and would give taxpayers about two months to file. Traditionally, the filing season begins the last week of January. Taxpayers eager for their refunds who normally file immediately may have to wait a little longer to get them this season, but for most Americans, a later start may go unnoticed. Less than 13.2 million taxpayers filed right away in 2025 and it was down 14% from the prior year, IRS data showed. And nearly a third of 1,011 Americans surveyed by IPX1031 last year said they procrastinate when it comes to filing taxes, with 21% not even knowing when the tax deadline is. Regardless of which camp you're in, tax season is coming and now's the time to begin preparing to save yourself money and maybe a lot of angst later, tax pros say. 'With just over four months left in 2025, there is still time for all taxpayers to make final decisions that will impact their 2025 tax return when they file early next year," said Mark Steber, chief tax officer at tax preparer Jackson Hewitt. "Now is the perfect time to review last year's tax return and current finances for the year – especially taxpayers who were unhappy with their refund amount or balance due to the are typically everyone's largest single financial transaction each and every year and a solid plan can help reduce stress, save valuable tax dollars, and avoid mistakes and missteps." How should Americans begin to prepare their taxes? Since 2025 isn't over yet, Americans have time to make adjustments now that can lower their tax bills or boost their refunds. Some of these steps include: If you owed money, look to see if there was a penalty for underpayment of estimated tax. If you ended up paying a penalty, think about increasing withholding or paying quarterly estimated tax payments to avoid the penalty, said Richard Pon, a certified public accountant in San Francisco. If you had a large refund, consider reducing withholding. A refund basically is an interest free loan to the government, he said. "However, some taxpayers like large refunds or else they will have higher paychecks and are tempted to spend more throughout the year." Medora Lee is a money, markets, and personal finance reporter at USA TODAY. You can reach her at mjlee@ and subscribe to our free Daily Money newsletter for personal finance tips and business news every Monday through Friday.
